Hospitality Business Toolkit Report: Financial, HR, and Operations

This report delves into the multifaceted aspects of the hospitality business, encompassing financial management, human resource strategies, and operational interrelations. It begins by outlining principles for managing and monitoring financial performance, including budgeting, performance analysis, and strategic planning. The report then provides a practical application of the double-entry bookkeeping system, demonstrating the preparation of journal and ledger accounts, alongside a trial balance. Furthermore, the report examines the human resource lifecycle within a hospitality context, focusing on recruitment, education, motivation, evaluation, and celebration stages. It also explores performance management, addressing negative behaviors and staff retention challenges, and highlights relevant legislation and the impact of employment and contract law. Finally, the report discusses the interrelation of functional roles within hospitality sectors and communication strategies to strengthen the value chain.

THE HOSPITALITY
BUSINESS TOOLKIT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................2
LO 1.................................................................................................................................................2
P 1 Principles of managing and monitoring financial performance............................................2
P2 Applying double entry book keeping system for preparing journal and ledger accounts of
the company................................................................................................................................3
P3 Producing trial balance of the company.................................................................................6
LO 2 Managing the Human resource life cycle with the context of HR strategy............................7
P 4 reviewing the different stages of the HR life cycle applied to specific hospitality role and
their importance for the retaining and developing the talent......................................................7
P 5 development of performance management plan for the specific hospitality by applying
techniques to resolve the negative behaviour and overcoming issue of staff retention..............9
P 6 specific legislation that hospitality organisation has to comply and adhere .....................10
P 7 How company, employment and contract law has potential impact on business decision
making in hospitality industry...................................................................................................11
LO 4...............................................................................................................................................12
P 8 Different functional roles within hospitality sectors interrelate.........................................12
P 9 Different methods of communication, coordination and monitoring applies within the
specific department of hospitality organisation to strengthen the value chain.........................12
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................13

INTRODUCTION
The present study is based on the hospitality business which focuses on the service
sector companies which deals in priding the best and quality services to their guest in order to
capture larger share of the market. The report will explain about the management of HR cycle,
development of performance measurement plan , interrelation between different department roles
and method of communication and coordination in department. Furthermore, the report will help
to understand about the operations and management of the service sector organisation.
LO 1
P 1 Principles of managing and monitoring financial performance
For the purpose of developing effective monitoring and financial performance of the
company, following principles should be comply by a business organisation:
Preparation of Budget
It is a core principle of monitoring and management of financial performance. A business
should prepare budgets by forecasting its various financial activities on the basis of analysis of
its past performance. Budgets should be should be realistic and attainable so that the company
can achieve its financial goals and objectives.
Analysis of actual performance:
For effective monitor of financial performance, a business must analyse the actual
performance of the company and should compare it with the budgeted performance
(PRINCIPLES OF FINANCIAL MANAGEMENT, 2019). It helps the managers in determining
the actual situation of the company through which they can develop their strategies and plans in
more effective way.
Development of strategies, plans and polices
After analysing the overall financial performance of the company and comparing it with
the budgeted activities, managers should detect he gap among the actual performance, budgeted
performance and the company's goals and objectives as well. It can help them in development of
more effective strategies for the business with the help of which they manage all the financial
activities in more effective way. Further, it can also help them in improving the effectiveness of
monitoring the financial performance of business organisation.

Each business activity should be comply with the budgeted activities
Budgets are used to prepare for providing a specific path to the company so that it could
achieve its financial goals and objectives. In this regard, the managers should ensure that each
activity performed by the business must be as per the budgeted activities. It will help in having a
proper management of each financial performance of the business.
P2 Applying double entry book keeping system for preparing journal and ledger accounts of the
company
journal in the books of bar on a cruise ship
date particular amount amount
01/02/19 Purchase account Dr. 5001
to Kate's kitchen 5001
(Being foods purchased from Kate's Kitchen)
01/02/19 Purchase account Dr. 29552
to Harry 29552
(Being drinks purchased from harry)
03/02/19 Beverages account Dr. 11203
Food account Dr. 1824
to sales 13027
(being food and beverages sold)
06/02/19 Kate's Kitchen Account Dr. 5001
to bank 5001
(Being Kate's Kitchen paid in full)
10/02/19 Beverages account Dr. 8966
Food account Dr. 1687
to sales 10653
(being food and beverages sold)
14/02/19 Bank account Dr. 2008

to sales account 2008
(Being party room hired by Meganne and
payment received in full
17/02/19 Beverages account Dr. 11710
Food account Dr. 1611
to sales 13321
(being food and beverages sold)
17/02/19 Harry account Dr. 29552
to cash 29552
(Being Harry paid in full)
24/02/19 Beverages account Dr. 10614
Food account Dr. 1715
to sales 12329
(being food and beverages sold)
Kate's Kitchen Account
date particular amount Date
particula
r amount
06/02/19 to bank 5001 01/02/19
By
purchase
A/c 5001
5001 5001
Harry account
date particular amount Date
particula
r amount
17/02/19 to cash 29552 By
purchase
29552

A/c
29552 29552
Purchase account
date particular amount Date
particula
r amount
01/02/19 to Kate's kitchen 5001 28/02/19
by
balance
c/d 34553
01/02/19 to Harry 29552
34553 34553
beverages account
date particular amount Date
particula
r amount
03/02/19 to sales 11203 28/02/19
by
balance
c/d 42493
10/02/19 to sales 8966
17/02/19 to sales 11710
24/02/19 to sales 10614
42493 42493
food account
date particular amount Date
particula
r amount
03/02/19 to sales 1824 28/02/19 to 6837

balance
c/d
10/02/19 to sales 1687
17/02/19 to sales 1611
24/02/19 to sales 1715
6837 6837
bank account
date particular amount Date
particula
r amount
14/02/19 To meganne account 2008 01/02/19
By kate's
Kitchen
account 5001
to balance c/d 2993
5001 5001
cash account
date particular amount Date
particula
r amount
28/02/19 to balance c/d 29552 17/02/19
By Harry
account 29552
29552 29552
sales account
date particular amount Date
particula
r amount
28/02/19 to balance c/d 49330 03/02/19 by 11203

beverage
03/02/19 by food 1824
10/02/19
by
beverage 8966
10/02/19 by food 1687
17/02/19
by
beverage 11710
17/02/19 by food 1611
24/02/19
by
beverage 10614
24/02/19 by food 1715
49330 49330
P3 Producing trial balance of the company
trial balance of bar and cruise ship as on 28 February 2019
particular amount (debit) amount (credit)
Purchase account 34553
beverage account 42493
food account 6837
Bank account 2993
cash account 29552
sales account 49330
suspense account 2008
83883 83883

LO 2 Managing the Human resource life cycle with the context of HR strategy
P 4 reviewing the different stages of the HR life cycle applied to specific hospitality role and
their importance for the retaining and developing the talent
The human resource plays very crucial role in the organisation as they focus on
providing different types of function and services which ultimately contributes towards the
development of the organisation' and helps the company to achieve their long term and short
term goals effectively and efficiently.
There is basically 5 stages in Human resource life cycles which is required to make
improvement in the organisation by the Food & Beverage Manager of the Cruise Ship .the
employee experience typically the five different stages during their employment within the
business(Baum, 2015). H R manger requires to manage all the stages effectively so that the best
talent can be selected which helps In achieving the organisation goals.
These stages are as follows:
1. Recruitment
2. Education
3. Motivation
4. Evaluation
5. Celebration
Step 1: recruitment
Growing the business will only possible when H R manger have capability of selecting
and hiring the right people to the right job at the right time. Hiring decisions plays crucial role in
organisation directing towards turnover, productivity, sales growth, expansion. In order to get
successful in the recruitment stage H R department requires to create a strategic staffing plan so
that according to the plan actions can e taken t match the job description with job specification
which also includes the expectation of the employees, strategy for attracting the best
talent(Gibbs, MacDonald and MacKay, 2015).

They also need to analyse the compensation and benefits package so that they can see if
they are competitive enough to attract the best and top most talent and after this a development if
the interviewing protocol is developed which might includes the written test, multiple choice
questions or personal interview so that organisation can decide and understand that whether the
talent is capable of section or not.
Step 2 Education
New employee is expected top understand regarding the job for which they have hired .
They need to focus on providing the most effective and efficient services to the customers in
order to successfully achieve their goal and objective(Jaiswal and Dhar, R.L., 2017). They
required to focus on the food quality they offering, variety they have and any innovation related
to the food and beverages which become major source of attraction for more people towards
them this stage helps in the development of the organisation on long run..
Step 3 Motivation
Turnover of employee in any company is generally in the initial 90 days which is due to
the lack of motivation. H R manger must provide them the reasons to make them stay motivated
and they can find the reason to stay in the organisation for long.
For motivating the employees H R manger can provide recognition to those who are performing
the higher levels and also the appreciation for their contribution in both the public and private
ways.
Step 4 Evaluation
In this stage the superior eluate and measures the employee performance in order to
evaluate that their performance and activities are going into the desired direction or not if not the
corrective measures are taken to eliminate the disruption involved this H R conduct performance
review based on facts not the feeling, spending more time finding that employees sound good job
rather than continuously criticizing(Ladkin, and Buhalis, 2016). In addition, offering the training
and professional development programmes so to help the employees to reach their goals and
move further ahead in the company.

Step 5 Celebration
The fifth stage of the H R life cycle give the opportunity to reenergize the staff and
thanking all the employees for their contribution towards the organisation and also showing the
appreciation by offering the unique benefits which may includes flexible working hours, gift
cards, extra paid time off etc(.Lopes, 2016). businesses are required to find different ways to
motivate in such a way that employee turnover get reduces and retention of more and more
employees can be done. A smart leader make employee feel empowered by them by giving
them the sense of ownership.
P 5 development of performance management plan for the specific hospitality by applying
techniques to resolve the negative behaviour and overcoming issue of staff retention.
Performance management plan is basically is the performance improvement plan or
performance action plan is the tool which is used to give the opportunity to succeed to an
employee with the performance deficiencies. This is used to address the failures to meet the
specific job gaols or to solve the behaviour related concerns of the staff and employees as some
might facing the issue which resulting in their negative behaviour(Madera and et.al., 2017).
There are basically five phases or stages for employee development and improving their
performance which includes :
planning- it involves effective planing for the tools to measure th performance ofg the employees
and how to eliminate the unwanted and disruptive performance.
Monitoring
 Employee appraisals at work- this includes timely and efficiently appraise the work of
the employees so to motivate them for providing the best and quality services to the
customers.
 Resolving poor employee performance- this employee who are not performing well and
are of capable of providing services which fulfil the needs and ans of the customers,
company needs to take corrective measures which help them to improve and resolve their
issues for non performance in corrective way so that they can develop the enthusiasm, to
work effectively and efficiently.
Developing

 Learning and development within business structure- this technique is need to use by the
business so that development of employee performance can be done in form of business
structure so that they can satisfy the superior and the needs and wants of the customers as
well.
 Business objectives and performance standards- H R mangers are required to set the
business objectives and performance standards and to communicate them to employees
so that they work wit the motive of achieving the set standards( Nieves and Quintana,
2018) .
 minimising the resistance to change- H R mangers also have to ficus on the dynamic
change in the business environment as the environment is dynamic and employees have
to accept the changes and need to be more flexible so that wok can easily be performed
without being inappropriate and unreliable.
 eliminating destructive or negative chatter- employees who creating the negative
environment must be terminated by the company so that other environment can get
prevented from such issues and effectively operations ca be carried and continue.
Rating
 performance measurement practices- After all the steps H R require to measure the
performance of employees that they are moving in desired direction or not so accordingly
ratings can be given which helps in further decision making regarding the each employee
performance.
Rewarding
It is the technique through which organisation can retain the employee for long by
offering teem great offers and regards which will appreciate and motivate them to work with
more efficiency and utilising the resources in optimal way.
P 6 specific legislation that hospitality organisation has to comply and adhere .
The different laws and legislations made rules are required to follow by the each
organisation existing in their particular sector(Úbeda-García and et.al., 2016). Hospitality is
basically a legal and social practice which is related to the treatment of the person, guests,
customers , related to the legal liability, the hospitality laws are intended to protect both hosts
and guests against any injury .